Rapido Hits Unicorn Status with Rs 1,000 Crore Funding Round

Hello,
Markets reached all-time highs during afternoon trade but ended flat as investors opted to book profits. According to FE, the Companies Act may soon see several changes. Rapido has achieved unicorn status following a $120 million Series E funding round. Today also marks the opening of the Akums Drugs IPO for subscription. FirstCry is on track to file its final papers for an IPO valued between $3 billion and $3.5 billion. Additionally, EQT is nearing a ₹7,000 crore deal to acquire Aavas Financiers.

Markets📊 
As of 29/07/2024 Market Close

• After reaching new record highs, the Indian stock market benchmarks, the Nifty 50 and the Sensex, closed flat on Monday, July 29. This was due to investors booking profits at higher levels, adhering to their strategy of buying low and selling high while considering the elevated valuations.

• The Nifty 50 nearly hit the significant 25,000 mark, achieving a new record high of 24,999.75 during the session.

Notable Gainer & Loser📈📉 
Source: Moneycontrol

Cyient DLM Ltd +5.42%

• The stock surged by as much as 12.5 percent intraday after the company announced that it had secured a contract from Boeing to manufacture the battery diode module (BDM) for the 787 Dreamliner.

• This marks the first project awarded by Boeing to Cyient DLM for producing of power electronics and design or certification support for commercial airplanes.

Interglobe Aviation Ltd (1.30%)

• Shares of Interglobe Aviation, the country’s largest domestic airline, fell by 5 percent in morning trade after the company’s Q1 earnings disappointed investors.

Yesterday’s Highlights📒 

• The Government has no plans to mandate the blending of ethanol with diesel. (ET)

• After strong profits, the government has scrapped capital support to oil companies. (ET)

• Power Grid plans a Rs 40,000 crore undersea interconnection with the Middle East. (BS)

• The RBIT notes that the sizes of fintech personal loans decrease as youth borrowing rises. (ET)

• MapMyIndia accuses Ola Electric of data theft for maps and sends a legal notice. (BS)

• There is a seven-year backlog in debt recovery cases for banks. (ET)

• The Companies Act is set to undergo a series of changes soon. (FE)

Featured Highlight💡 
Sources: YS, Moneycontrol, EN

Rapido Achieves Unicorn Status with $120 Million Funding Round

1. Funding and Valuation: Rapido secured $120 million in a Series E funding round led by WestBridge Capital, valuing the company at $1 billion. This round included the issuance of equity shares and convertible preferred shares at Rs 52,467 per share, totalling approximately Rs 1,002 crore.

2. Market Position and Competitiveness: As of March 2024, Rapido surpassed competitors like Ola and Uber in daily rides, providing 16.5 lakh rides per day compared to Ola's 13 lakh rides. The company’s shift to a software-as-a-service (SaaS) model with zero commissions for auto driver partners has contributed to its competitive edge.

3. Strategic Growth Initiatives: Rapido's strategic initiatives, including a zero-commission model, cash backs, and investments in IPL, have bolstered its market position. The company plans to use the new funding to enhance its technology and extend its services to untapped markets in India, further challenging the dominance of Ola and Uber.

IPO / Issuances🚀 

• FirstCry is poised to file its final papers for an IPO valued between $3 billion and $3.5 billion. (ET)

• Ahead of its IPO, Akums Drugs raises Rs 829 crore ($99Mn) from anchor investors. (BS)

• Monarch Networth Capital announces a 300 crore ($35.9Mn) fundraise and a bonus. (Moneycontrol)

• Fidelity and Nomura are preparing bids for Ola Electric's India IPO. (Moneycontrol)

This week’s mainboard IPO schedule

• Akums Drugs and Pharmaceuticals (RHP)

  • Offering Period: 30 July - 01 August, 2024

  • Listing Date: 06 August, 2024

  • Issue Price: 646-679

  • Lot Size: 22

• Ceigall India

  • Offering Period: 01-05 August, 2024

  • Listing Date: 08 August, 2024

  • Issue Price: 380-401

  • Lot Size: 37

• Ola Electric Mobility

  • Offering Period: 02-06 August, 2024

  • Listing Date: 09 August, 2024

  • Issue Price: 72-76

  • Lot Size: 195

Deal Activity🤝 

M&A / Investments

• Tata Steel invests Rs 7,320 crore ($875Mn) in its Singapore-based arm. (BS)

• EQT is nearing a ₹7,000 crore deal ($836Mn) to acquire Aavas Financiers. (ET)

• Axis Mutual Fund, Morgan Stanley, and Societe Generale acquired a stake in Jyoti CNC for Rs 1,079 crore ($129Mn). (BS)

• Cars24 secures Rs 250 crore ($29.9Mn) from its Singapore parent company. (YS)

• BluPine Energy secures Rs 239 crore ($28.6Mn) from Tata Capital. (YS)

• CESC acquires a 64% stake in Purvah Green Power for Rs 205 crore ($24.5Mn). (BS)

• Adani Power is expected to acquire the Dahanu unit from Adani Energy Solutions. (BS)

• The government puts the privatization of the Container Corporation of India on hold. (BS)

• White Matter Advisory acquires a 90% stake in the fintech startup Fairexpay. (BS)

VC

Enjoy this newsletter? Forward to a friend and have them signup here.